All Forum Posts by: Sean DeRue

I apologize that this is far from brief, but I earnestly appreciate every bit of help, and thank you for even just reading the post

Coming this next year at Purdue University I would like to house hack somewhere in order to start my financial house ASAP and be financially independent by the time I start a family. I have read the new BP house hacking book (great read) as well as have learned the general information over the summer. There are a few single family houses that I think I would be willing to house hack and convert. I have some pretty big road blocks in terms of financing, so I'll list them, my current tentative game-plan, and some avenues to resolve them. I'd love to hear of any additional advice or opinions anyone might have to help me! :)

I would like to use an FHA or 203K loan, since I don't have the funds for a large down payment. I can currently only offer around 6k for a down payment (But that is all I have saved right now, and I will likely get a job so I can make the purchase before next year). The kicker is, the DTI; I don't have an income yet, and while I am almost licensed for Real Estate, a commission job requires 2 years to be considered income. I doubt I would be able to able to consider any existing lease on the property as income if I don't have it yet. I am being diligent to build credit with my Discover It Secured Card, but my 6 month mark on that is not until February, so until then I don't have a proper score. There are a few loopholes that seem to be present in the DTI that I would like to explore with lenders to hear their opinion, such as funds already built up.

Based off of the estimates from the Wells Fargo DTI calculator, it seems I should have an annual income of 35500 to have good chances to qualify for an FHA loan on a 130,000 property. There is a high possibility that a better deal for a more expensive property comes up by the time I can actually purchase one though. The advice I'd like on this regard:

• - Is there an employment field you suggest I look into that could offer a W2 annual income sufficient that I could do while in school.
  

• - Is school even worth it to get a management degree vs going into the workforce if I just want to become financially independent  through Real Estate ASAP

• - Would it be smarter to try and find a partner to fund the investment? 

I am eager to discuss this with anyone willing to offer advice, and again: I so so appreciate you taking the time out of your day to read/comment!

@Caleb Heimsoth 

Thank you so much for the honest feedback! I'm going to try nevertheless, but I'll be constantly reevaluating whether or not I'm giving unique content!

@Scott Dixon

Great advice, Scott!

I'm excited to get started on it now!

@Alexander Felice

Hahaha well I'm glad my naiveté got more info out of you 😉

Congrats on your end too! That's awesome.

I'm excited to start it now!

@Taylor L. Thank you for the input!

@Alexander Felice

Am I missing a loss beyond time?

@Trevor Scheiderer

Thank you Trevor! I'll look into a more local card to see if they offer any good rewards. I don't need a huge line, especially if it's the size of the deposit, just a little more than rent

Okay so here's my elevator talk 😅

Inspired from the recent "How would you start investing in RE with $500" post, that's basically what I've got right now 😂... I want to hear if you guys think this would be interesting/entertaining:

It's a vlog channel based on trying to achieve financial freedom through Real Estate, starting with $500.

My philosophies on life and business would be present in that life>work/money, but hard, smart work and money can enhance life. And being earnest and transparent goes a long way.

I would lay out my long-term plan, and after every step in the progress of this, every book read, every productive podcast listened to, every deal inspected, any important step is vlogged, and my hussle is shown to show what it takes to be successful.

I'd do visual breakdowns summarizing what I've learned, and add enough personality/energy to make it fun.

Hopefully this could show future business partners my integrity and who I am in order to help them gage compatibility. It could help me network while I'm learning to get advice from viewers. And eventually it could make a brand for me to gain familiarity with tenants and people in the industry.

I want some cold, hard opinions here... I barely have time in the day for what I am doing now, so is this endeavor worth the time? Would anybody support it?

What do you think??

Thanks for reading 😁

~Sean DeRue

At the start of my RE career, and it's time I start earning credit...

I've only ever used my checking account for my transactions, so I currently don't have ANY credit.

My checking has about $1500, and I am earning 550 a week during this summer.

I have a lot in savings, but I was declined from Discover It Secured card. I'm waiting for the letter as to why, but I intend to fix them and reapply.

I need to start building credit ASAP so I can house hack soon, but I don't know if I should apply for a different secured card (which no other that I've found offer rewards or cash back), or if I should wait and reapply for Discover... Or do both?

Any suggestions on how to build credit from nothing? Or why I got declined?

@Michael Temple

This is my exact plan!